Fraud risk management

The internal control measures should be appropriate within the organisation and effective in preventing and detecting the fraud risks identified via the fraud risk assessment in a timely manner. The primary responsibility for the prevention and timely detection of fraud rests with the organisation’s supervisory body and board. The board, under the oversight of the supervisory body, must imperatively assign a high importance to preventing fraud, as this reduces the opportunities for committing fraud, and also discourages it, acting as a deterrent that makes individuals think twice about committing fraud because of the likelihood of detection and punishment.